Lineage, Inc. reported full‑year 2025 revenue of $5.355 billion, a decline of 1.2% from $5.38 billion in 2024. Adjusted EBITDA fell 2.3% to $1.298 billion, giving a margin of 24.2% versus 24.5% in the prior year. GAAP earnings per share were $0.03, while adjusted funds from operations (AFFO) per share reached $0.83, beating consensus estimates of $0.73 by $0.10. The company’s Q4 revenue of $1.336 billion missed analyst expectations of roughly $1.406 billion, and Q4 adjusted EBITDA was $1.298 billion, down 2.4% from the prior year.
The revenue shortfall reflects a combination of a challenging cold‑storage cycle, a 9% decline in container volumes, and pricing pressure in the core warehousing segment. Despite these headwinds, same‑warehouse occupancy improved sequentially, indicating a gradual return to normal seasonality. The margin compression to 24.2% was driven by higher operating costs and a shift toward lower‑margin services, while inventory destocking added pressure on throughput.
Lineage’s 2026 guidance projects adjusted EBITDA of $1.25 billion to $1.30 billion and AFFO per share of $2.75 to $3.00, both slightly below the 2025 full‑year figures of $1.298 billion and $3.37 per share. Management cited tariff uncertainty and continued inventory destocking as reasons for the cautious outlook, while emphasizing disciplined cost control, productivity gains from its LinOS technology, and a focus on controlling the controllables.
"We closed out 2025 with strong execution across the network, as utilization increased nicely sequentially in line with our expectations, signaling a return of normal seasonality in our business trends," said President and CEO Greg Lehmkuhl. CFO commentary highlighted a 9% year‑over‑year decline in container volumes and noted that the mix shift to softer service offerings was dragging revenue per pallet and warehouse margins.
Investors reacted to the mixed results: the AFFO beat provided some support, but the revenue miss and lower 2026 guidance tempered enthusiasm. The market focused on the company’s ability to maintain margins amid pricing pressure and the impact of ongoing tariff uncertainty on future earnings.
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